FX.co ★ GBP/USD

GBPUSD on yesterday’s daily chart, from a technical standpoint, shows a logical completion of the upward impulse up to the 1.3560 July high. That is, this target appeared once price moved through and consolidated above the 61 Fibonacci level of the previous downside wave, and now that wave has been fully overlapped. Next we will watch price action relative to this 1.3560 level. But let’s note the tendency that the recently released US retail sales and Michigan data are again negative for the dollar, just like earlier labor market and inflation data. All of this forms the fundamental prerequisites for a breakout to the upside.